Browsing by Author "Dereje Tilahun"
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Item The Effect of Multinational Corporations on the Economic Growth: The Case of Ethiopia (Incoming Investments)(AAU, 2025-03-10) Dereje Tilahun; Girma Estiphanos (PhD)This study analyzes the economic changes by multinational corporations on Ethiopia throughout the years using yearly time series data from 2005-2022. Using ARDL and VEC analysis, the effects of multinational corporations on gross domestic product growth, the exchange rate, the BP, and the Unemployment rate is been estimated in the long and short term. The study found that the effects of multinational corporations on economic growth works passed on the short- term aggregate demand and the long-term aggregate supply channel using GDP as an indicator of the economic growth and its effect on the exchange rate, the balance of payments and the Exchange rate. The devaluation of the national currency leads to economic growth only in the short term. In the long run, it affects negatively the EG. Public expenditure is statistically as vital as of the REER rate in explaining economic growth in Ethiopia